US fine Credit Suisse for supervisory failures in securities trading

US fine Credit Suisse for supervisory failures in securities trading
Credit Suisse Offices (Reuters)

Between 2010 and 2014, some Credit Suisse customers with direct market access were involved in activities that generated more than 50,000 alerts in FINRA

Credit Suisse Securities has been sanctioned with a fine of 6.5 million dollars (5.8 million euros) by the United States Financial Sector Regulatory Authority (FINRA) and the large US markets of securities trading as a result of the defective supervision of the entity negotiating some of its clients.

The US authorities point out that between 2010 and 2014 some Credit Suisse clients with direct market access were involved in activities that generated more than 50,000 alerts in FINRA and the exchanges for potential manipulation of the negotiation, adding that during most of this time Credit Suisse did not establish a reasonably designed supervision system to monitor these activities of its clients with direct market access.

“As guardians of access to US markets, it is essential that companies implement a robust monitoring system and actively monitor manipulative activities to protect the integrity of markets,” FINRA and the US exchanges said in a joint statement.

For its part, Credit Suisse has not admitted or denied the charges.